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The Influence of Brand Image and Brand Experience on Customer Brand Loyalty

Hermansyur1, Bunga Aditi 2, Hafizah3, Prasetyono Hendriarto4

1, 2, 3 Faculty of Economic Business, Universitas Harapan Medan, Indonesia

4Universitas Pakuan, Bogor, Indonesia

A R T I C L E I N F O A B S T R A C T

Keywords:

Brand Image, Brand Experience, Brand Loyalty.

This research aims to find the influence of brand image and brand experience on brand loyalty. This research population is all regular customers in Suans Bakery, Sampling techniques using nonprobability sampling with a total of 88 samples. The data is obtained by giving a statement in the form of a questionnaire directly to the respondent to obtain valid data. Based on the results of processing, it is known that brand image and brand experience have a positive and significant influence on brand loyalty either simultaneously or partially. Determination test results found the value of R square by 64.2% this means a variation of brand loyalty that can be explained by a variety of independent brand image and brand experience of 64.2%, while the rest (35.8%) explained by other factors or variables outside the model.

E-mail:

[email protected], [email protected], [email protected], [email protected]

Copyright © 2021 Enrichment : Journal of Management.

All rights reserved.

1. Introduction

The development of the cake and bread business that is growing so rapidly causes a big change in the market. Along with the world of marketing, businesses must change because competition between similar and unneeded companies in an effort to drive the market will increase and consumers increasingly demand companies to maximize their resources so that the needs of increasingly varied markets can be met. Therefore, the company tries to always understand the needs of consumers in order to get a place in the consumer's company. The development of such technology has an impact on the general public while shaping its behavior.

When viewed from the current market conditions have increasingly varied makes consumers have to be more selective in making purchases and more critical in their purchasing behavior. Bakery entrepreneurs compete with each other to vary the products, flavors, dishes, and prices offered with the aim to create brand loyalty to customers that will have an impact on the increase in the company's long-term profit. Kotler et al. (2016) stated that a strong relationship between a customer and a brand not only maintains a business relationship for a certain period of time but also in terms of improving the recommendations of friends or closest relatives in order for the company's reputation to be good. Because a loyal person will not see another brand because the person trusts the product that the brand has recognized. Furthermore, Ercis (2012) divides loyalty into two types namely full loyalty and brand loyalty, they also divide brand loyalty into effective and sustainable loyalty. Loyalty is effectively more related to the emotional attachment between consumers and brands because customers don't switch to competing brands.

When consumers make purchasing activities, consumers prefer the desired product and according to their needs and also depends on the image of a brand attached to it. The stronger the brand image of the customer, the stronger the customer loyalty in using a brand, so that the bakery gets an advantage and is able to compete with its competitors' products. Through brand image, consumers are able to recognize a product, evaluate quality, reduce purchasing risk and gain experience and satisfaction from certain product differences (Lin et al., 2013). Because the brand image is used as a benchmark for consumers to remain loyal because consumers already strongly believe in products that have been recognized in providing a good experience to consumers. Setiadi (2010) and Rangkuti (2014) stated that the brand image will be able to form loyalty to a particular brand called brand loyalty.

In addition to the brand image that makes other considerations in the selection of a product is the brand experience.

Because with the experience or personal experience owned by a consumer when a consumer gets a new and interesting experience for him then the consumer can be loyal and also make recommendations to his closest relatives. According to Brakus in John (2014), the brand experience can be interpreted as something obtained by consumers in using products or services so that consumers gain knowledge and give assessment and get a sensation arising from a particular product.Brand experience turns an ordinary product into a memorable event that is personal for consumers. The essence of the brand plays an important role in creating a suitable brand experience approach. Thus, the surrounding environment conveys a consistent message. The key to the success of the brand experience is the deep involvement of consumers. The more consumers engage, the deeper the experience is felt. Therefore, the design of the brand experience is very important. Brand exeperience will be able to create brand loyalty (Morrison and Crane, 2011; Sahim, Zehir and Kitapci, 2011; Brakus, Schmitt and Zarantonello, 2010; Biedenbach and Marcell, 2010; Mascarenhas, Kesavan and Bernacchi, 2011).

The tighter competition in existing businesses, especially competition coming from similar bakery companies, makes companies increasingly required to move faster in terms of attracting consumers. In addition, the high level of consumers of urban communities makes the right opportunity to run a bakery business in Medan. Currently bakery business in Medan already has several products seen from the proliferation of brands that are widely circulated today. Can be seen in the following table:

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Table 1.

List of Bakeries in Medan No Bakery Store Name

1 Clover BakeShoppe

2 Mawar Bakery & Cake Shop 3 Jofie Bakery & Cake Shop 4 Aroma Bakery & Cake Shop

5 Suans Bakery

6 Bolu Meranti

7 Medan Napoleon

8 Choco Bakery

9 Tahiti Bakery & Cake Shop 10 Majestyk Bakery & Cake Shop Sumber: Bacaterus.com

Based on the table above that the number of brands or products that have been circulating in Medan. With the increasing number of bread products in circulation from national to local brands, all brands compete very fiercely in the market. One of them is the existence of local bread companies such as bread Suans Bakery Medan. Suans Bakery is a company engaged in bakery food, Bakery has a factory in Jalan Taruma No.9 B. Suans Bakery was founded by Mr. David Thamran in 1990. Currently, the brand Suans Bakery has been widely known by consumers both from the upper and lower middle class, but even so there are still many brands that are superior to the brand Suans Bakery.

Suans Bakery one of the brands or culinary brands that have long been in the city of Medan with a variety of pieces of bread offered such as traditional bakeries such as cake roll, cake ring, brownies, and cakes for birthday celebrations and weddings, for variants of foreign cakes here are available assorted Bread, Assorted toast to Assorted biscuit, here are also available Rustic Bread, pastry, pies, and baby shower. As other typical souvenirs, Suans Bakery is also a cake adapted from abroad. With creations and processed cold hands professional chef, Suans Bakery as a souvenir cake that is halal and contemporary from the city of Medan.

The number of bakeries that stand today forces the company must be able to create a good image in heart consumers and create a good experience so that consumers believe in the product and remain loyal to a product in order to compete with other bakeries, but Suans Bakery less produce vegetarian bread that is much in demand by the elderly/elderly where these circles are loyal customers of Suans Bakery. In addition, the employees at Suans Bakery are less concerned about the consumer experience, it is known from the number of customers who complain when shopping at Suans Bakery due to the lack of employee service and the limited number of bestsellers bread products produced every day.

Based on the background, the phenomenon, and the previous theory of the author interested to conduct research with the title "The Influence of Brand Image and Brand Experience On Customer Brand Loyalty ".

2. Methods

The research approach used in this study is a quantitative method with an associative approach. The research was conducted at Suans Bakery Jln Taruma No.9B Medan. The population in this study is all consumers Suans Bakery settled, then predicted the average per day 25 people x 30 days = 750 people. Determination of respondents sample used in this study is through nonprobability sampling, ie only customers who have spent at least 3 (three) times at Suans Bakery can be used as a research sample. The method used in sampling is nonprobability sampling with an accidental sampling approach.

Based on Slovin formula set this research sample as many as 88 customers Suans Bakery.

Data collection techniques used using questionnaires with a scale of 5-1 (strongly agree-strongly disagree). Data analysis techniques with Data quality test, classic assumption test, multiple linear regression test, hypothesis test, and determination coefficient tests.

The research model used can be seen in the following Fig:

Fig 1. Research Model 3. Results and Analysis

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These results show that the female gender prefers the products of Suans Bakery Medan.

Furthermore, consumers Suans Bakery Medan who became respondents based on the last education is the end of high school / vocational school or below, which is as many as 60 people or 68.2% of the total respondents. Consumers Suans bakery Medan who became respondents based on the status of work is work, which is as much as 62 people or 70.5% of the total respondents. Then based on the status is not yet family, which is as many as 49 people or 55.7% of the total respondents. Income between Rp.2.000.000,- to Rp.5.000.000,-, which is as much as 29 people or 33.0% of the total respondents. Based on the brand of products purchased is cake birthday/cake wedding, which is as much as 21 people or 23.9% of the total respondents.

Furthermore, 41 people or 46.6% of the total respondents. This result shows that the majority of consumers Suans Bakery Medan is a subscription length of 1-5 years. The reason for choosing a product is a lot of various flavors/variants and delicious taste, which is as many as 30 people or 34.1% of the total respondents. This result shows that the reason the majority of consumers Suans Bakery Medan is a lot of various flavors/variants and taste delicious.

3.2 Validity, Reliability and Classical Assumptions Test

Based on the results of the SPSS output, it is known that the validity value for the variable brand image, brand experience, and brand loyalty in the Corrected item-total Correlation column, the value of all coefficients is greater than 0.30, so that all indicators of the three variables are declared valid (valid).

Furthermore, the reliability test results can be seen in Table 2 below:

Tabel 2.

Reliability Test Result

No Variable Cronbach's

Alpha N of Items Conclusion

1 Brand Image ,761 6 Reliabel

2 Brand Experience ,752 6 Reliabel

3 Brand Loyalty ,760 6 Reliabel

The results of the SPSS output show that the Cronbach's Alpha value of the three variables is> 0.60, so it can be concluded that the statement items on the Brand Image, Brand Experience, and Brand Loyalty variables are reliable or are said to be reliable.

Furthermore, table 3 below will be presented the results of the Kolmogorov Smirnov normality test.

Table 3.

Nolmality Test Result One Sample Kolmogrov Smirnov Test

Unstandardized Residual

N 88

NormalParametera, Mean ,0000000

Std. Deviation 3,57043311

Most Extreme Differences Absolute ,091

Positive ,073

Negative -,091

Kolmogrov- Smirnov Z ,091

Asymp. Sig. (2-tailed) ,067c

In table 3 above, it can be seen that the results of the data processing, Kolmogrov Smirnov's significant value is 0.67, it can be concluded that the data is normally distributed, where the significance value is greater than 0.05 (P = 0.67> 0.05. ).

The following will display the multicollinearity test results:

Tabel 4.

Multicollinearity Test Result Coefficientsa Model

Collinearity Statistics Tolerance VIF 1 (Constant)

Brand Image ,413 2,420

Brand Experience ,413 2,420

a. Dependent Variable: Brand Loyalty

Based on table 4 above, it can be seen that the Variance Inflation Factor (VIF) number is smaller than 10, including Brand Image 2,420 <10 and Brand Experience 2,420 <10, and the value of Tolerance Brand Image 0.413> 0.10 and Brand Experience 0.413> 0,10 so that it is free from multicollinearity.

Next will be displayed the results of the heteroscedasticity test:

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Fig 2. Heteroscedastity Test Scatterplot Graph

Fig 2 above shows that the data distribution is around zero points. The results of this test indicate that the regression model is free from heteroscedasticity problems.

3.3 Regression Test

Multiple linear regression aims to calculate the influence of two or more independent variables on a dependent variable and predict the dependent variable using two or more independent variables. The multiple regression analysis formulae are as follows: Y = 𝛼 + b1X1 + b2X2 + e

Table 5.

Multiple Linear Regression Coefficientsa Model

Unstandardized

Coefficients Standardized Coefficients

t Sig. Collinearity Statistics

B Std. Error Beta Tolerance VIF

1 (Constant) 2,754 1,259 2,187 ,031

Brand Image ,552 ,099 ,564 5,586 ,000 ,413 2,420

Brand Experience ,287 ,102 ,283 2,803 ,006 ,413 2,420

a. Dependent Variable: Brand loyalty

Based on Table 5, it is obtained multiple linear regression as follows:

Y = 2,745 + 0,552 X1 + 0,287 X2

3.4 Hypothesis testing a. t Test

Based on Table 5 above, it can be seen that:

1) The Influence of Brand Image on Brand Loyalty

t count is 5,586 while t table is 1,988 and is significant at 0.010, so t count is 5,586> t table is 1,988 and significance is 0,000 <0.05, then Ha is accepted and H0 is rejected, which states that Brand Image has a partially significant effect on Brand Loyalty.

2) The Influence of Brand Experience on Brand Loyalty

t count is 2.803 while t table is 1.988 and significant is 0.006, so t count is 2.803> t table is 1.988 and significant is 0.006 <0.05, then Ha is accepted and H0 is rejected, then Ha is accepted and H0 is rejected, which states that Brand Experience has a partially significant effect on Brand Loyalty.

b. F Test

The F test (simultaneous test) is carried out to see the effect of the independent variable on the dependent variable simultaneously. Following are the results of the F test:

Table6.

F Test Result Anovab

Model Sum of

Squares Df Mean

Square F Sig.

1 Regression 1990,743 2 995,371 76,286 ,000b

Residual 1109,075 85 13,048

Total 3099,818 87

a. Dependent Variable: Brand Loyalty

b. Predictors: (Constant), Brand Experience, Brand Image

Based on table 6 above, it can be seen that the F count is 76.286 while Ftable is 3.10 which can be seen at α = 0.05.

Significant profitability is much smaller than 0.05, namely 0.000 <0.05, so the regression model can be said that in this study, Brand Image and Brand Experience simultaneously have a significant effect on Brand Loyalty.

3.5 Coefficient of Determination

Analysis of the coefficient of determination is used to determine the percentage of the variation in the influence of independent variables on the dependent variable:

Table7.

Coefficient of Determination Model Summary

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The Adjusted R Square number is 0.634 which can be called the coefficient of determination, which in this case means that 63.4% of Brand Loyalty can be obtained and explained by Brand Image and Brand Experience. While the remaining 100% - 63.4% = 36.6% is explained by other factors or variables outside the model.

4. Conclusion

Based on the results of the research and discussion that has been done, the following conclusions can be drawn:

a. Brand Image partially has a positive and significant effect on Brand Loyalty at Suans Bakery.

b. Brand Experience partially has a positive and significant effect on Brand Loyalty at Suans Bakery.

c. Brand Image and Brand Experience together (simultaneously) have a significant effect on Brand Loyalty at Suans Bakery.

5. References

[1] Biedenbach dan Marcell, 2010. Hight Brand Loyality and Positive enduring are devoleped Through Brand Experience Over Time, An Emperical Research on Global Brands.

[2] Brakus, J.J., Schmitt, B.H., dan Zarantonello, L. 2010. Brand Experience. What is it? How Is it Measured? Does it Affect Loyality? Journal of Marketing, 73 (3), 52-68.

[3] Ercis, 2012. The effect of Brand Satisfaction, Trust and Brand Commitment on Loyalty and Repurchase Intention.

Procedia- Social and Behavioral Sciencis.

[4] Kotler, Amstrong dan Ketler 2016. Marketing Management 15¬th Edition. New Jersey: Prentice Hall.

[5] Lin et al, 2013. Barand Image as a second-order Factor, An Alternative Measurement Model, Journal of Marketing, Vol 50, p. 1-24.

[6] Morisson and Crane, 2011. Building the Service Brand by Creating and Managing and Emotional Brand Experience.

Journal Brand Management. Vol. 14, No.5, pp. 410-421.

[7] Rangkuti, Bastian, 2014. The Power of Brands, Jakarta, PT Gramedia Pustaka Utama.

[8] Sahin et all, 2011. The effect Brand Experience, Trust and Satisfaction on building Brand Loyality, An Empirical Research on Global Brands.

[9] Setiadi, 2010. Consumers Trust in a Brand and The Link to Brand Loyalyty, Journal of Market Facused Management, Vol. 4, p. 341-370.

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